June 2008 (May data)

June 2008 (May data)

For immediate release: June 9, 2008

Dollar Gained in May

The average monthly value for the trade-weighted dollar index of 15 major currencies tracked by the Federal Reserve Bank of Atlanta rose 0.3 percent in May after reaching a record low in the series' history in April. The dollar gained 1.3 percent in both the Europe and Pacific subindexes and rose 1 percent in the Pacific-excluding-Japan subindex from the month before. The Americas subindex showed the dollar falling 1.2 percent in May. The classic subindex, which is the analogue of the original Atlanta index, was up 0.4 percent. The overall index was 9.2 percent below its year-ago level. On a daily basis, the overall index rose 1 percent from the low reached on March 18 to the end of May. The daily index was 8.2 percent below its value at the end of May 2007.

The Atlanta Fed index is based on 1995–97 bilateral trade weights for 15 currencies. The European subindex includes the European Monetary Union, Switzerland and the United Kingdom. The Pacific subindex includes Australia, China, Hong Kong, Japan, Malaysia, Singapore, South Korea and Taiwan. The Americas subindex includes Brazil, Canada and Mexico. The overall dollar index includes the Saudi Arabian riyal along with the foregoing 14 currencies. The classic subindex includes the European Monetary Union, Switzerland, the United Kingdom, Australia, China, Hong Kong, Japan, Singapore, South Korea, Taiwan, Saudi Arabia and Canada. All figures are indexes and not actual exchange rates. A rise in the index or subindex reflects a strengthening of the dollar against currencies included.